by Ciaran O'Kane on 2nd Jun 2014 in TRADERTALK

Last year almost £1bn was spent on mobile advertising in the UK alone. Of which £500m was spent and search, and £500m on display. The £500m display spend is estimated to have been split into £450m for in-app advertising and £50m for mobile web.

In-app advertising remains the dominant eco-system of mobile display. Why is this? Plus why are companies like King.com, and other big app advertisers piling billions into in-app advertising? Why indeed did Facebook start Facebook Audience Network (FAN) to roll out an off-site in-app advertising ad network? And why did Twitter payout the guts if £400m for MoPub?

The problem with mobile web inventory is finding retail space among all that content on mobile devices (not tablets, which are effectively extensions of the desktop), and more importantly the lack of a universal cookie for tracking and targeting. Does this mean the device ID is the new cookie? And the in-app ad space is growing at pace.

Here Todd Tran explains the in-app advertising eco-system in detail. Tran explains the key reason why so much buy-side spend is going to it, and the key players on both the buy and sell side. We also take a look at the new breed of publisher dominating this eco-system, plus as the question can traditional publishers make in-roads into this spend? We examine the opportunities in this week's TraderTalk.

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